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ISLAMABAD: The first flow of liquefied natural gas is expected by September 2012 as the government is working on a plan to pave way for importing LNG on emergent basis for power generation.
At a meeting chaired by Prime Minister Yusuf Raza Gilani on Tuesday to review the mid-term options available to end energy crisis Acting Chairman of Oil and Gas Regulatory Authority (Ogra) Sabar Hussain informed that ogra and the ministry of petroleum were actively engaged to ensure that 500 mmcfd (million cubic feet daily) LNG was imported next year.
“The imported LNG will be exclusively used for the generation of 2,500 megawatts of electricity,” he added.
Meanwhile, Petroleum Minister Dr Asim Hussain said the import of LNG and its utilisation infrastructure including the terminal, re-gasification unit was expected to be completed by the third quarter of next year.
Dr Hussain said that the LNG terminal and other infrastructure was planned to be established at Port Qasim and in addition to it a separate pipeline will be laid from Port Qasim to Punjab for increasing the gas transportation capacity.
A source in the petroleum ministry said that three firms namely Pak-Gas Port, Global Energy and subsidiary of Engro had already been short listed for the integrated LNG project.
The winning firm would be required to supply 3.5 million tons of LNG per annum which was around 500 mmcfd.
“Soon agreement will be signed with any of the three firms for integrated project,” official of the petroleum ministry said, adding “the integrated project includes importing as well as supplying LNG in gas form to the pipeline system, this will ensure that the party will solely responsible for the delay.”
Chairman Port Qasim Authority Vice Admiral Muhammad Shafi informed the meeting that the three terminals with an estimated cost of $500 million would have to be built to cope with the handling of LNG imports in such a huge quantity.
He said that PQA was fully prepared to undertake the project after meeting the normal mandatory legal requirements and the imperatives of cost effectiveness of the project.
“PQA was already working with interested investors for the development of jetty and terminal facilities for handling LNG and agreement in this regard will be finalised shortly,” the Vice Admiral said.
The prime minister directed the Chairman PQA to gear up his organisation to cope with the energy shortages issues for which all necessary measures be taken to ensure early import of the LNG.
The meeting was attended by Finance Minister Dr Abdul Hafeez Shaikh, Water and Power Minister Naveed Qamar, Law Minister Mola Bux Chandio, Deputy Chairman Planning Commission Dr Nadeem-ul-Haq and officials of respective ministries and State Bank.
